1st Session, 40th Legislature
This version is based on the printed bill that was distributed in the Legislature after First Reading. It is not the official version. If accuracy is critical, you can obtain a copy of the printed bill from Statutory Publications or view the online bilingual version (PDF).
Bill 10
THE SECURITIES AMENDMENT ACT
| Explanatory Note | Bilingual version (PDF) |
(Assented to )
HER MAJESTY, by and with the advice and consent of the Legislative Assembly of Manitoba, enacts as follows:
The Securities Act is amended by this Act.
Subsection 1(1) is amended
(a) in the definition "adviser", by adding "or derivatives" at the end;
(b) in the definition "salesperson", by adding "or derivatives" after "securities";
(c) in the definition "trade" in the English version, by replacing clause (b) with the following:
(b) any participation as a trader in any transaction in a security entered on any exchange;
(b.1) entering into a derivative or making a material amendment to, terminating, assigning, selling or otherwise acquiring or disposing of a derivative;
(b.2) a novation of a derivative, other than a novation with a clearing agency;
(d) by adding the following definitions:
"clearing agency" means,
(a) with respect to securities, a person or company that
(i) acts as an intermediary in paying funds or delivering securities, or both, in connection with trades and other transactions in securities,
(ii) provides centralized facilities for the clearing of trades and other transactions in securities, including facilities for comparing data respecting the terms of settlement of a trade or transaction, or
(iii) provides centralized facilities as a depository of securities,
but does not include
(iv) the Canadian Payments Association or its successors,
(v) an exchange or a quotation and trade reporting system,
(vi) a registered dealer, or
(vii) a bank, trust company, loan corporation, insurance company, treasury branch, credit union or caisse populaire that, in the normal course of its authorized business in Canada, engages in an activity described in subclause (i), but does not also engage in an activity described in subclause (ii) or (iii), and
(b) with respect to derivatives, a person or company that provides centralized facilities for the clearing and settlement of trades in derivatives that, with respect to a contract, instrument or transaction,
(i) enables each party to the contract, instrument or transaction to substitute, through novation or otherwise, the credit of the clearing agency for the credit of the parties,
(ii) arranges or provides, on a multilateral basis, for the settlement or netting of obligations resulting from such contracts, instruments or transactions executed by participants in the clearing agency, or
(iii) otherwise provides clearing services or arrangements that mutualize or transfer among participants in the clearing agency the credit risk arising from such contracts, instruments or transactions executed by the participants,
but does not include a person or company solely because the person or company arranges or provides for
(iv) settlement, netting or novation of obligations resulting from agreements, contracts or transactions on a bilateral basis and without a central counterparty,
(v) settlement or netting of cash payments through the Automated Clearing Settlement System or the Large Value Transfer System, or
(vi) settlement, netting or novation of obligations resulting from a sale of a commodity in a transaction in the spot market; (« agence de compensation »)
"commodity futures exchange" means a commodity futures exchange as defined in The Commodity Futures Act; (« Bourse de contrats à terme de marchandises »)
"derivative" means an option, swap, futures contract, forward contract or other financial or commodity contract or instrument whose market price, value, delivery obligations, payment obligations or settlement obligations are derived from, referenced to or based on an underlying interest (including a value, price, rate, variable, index, event, probability or thing), but does not include
(a) a contract as defined in The Commodity Futures Act,
(b) a contract or instrument that, by reason of an order of the commission under subsection (1.5), is not a derivative, or
(c) a contract or instrument in a class of contracts or instruments prescribed by the regulations not to be derivatives; (« produit dérivé »)
"designated derivative" means a derivative
(a) that, by reason of an order of the commission under subsection (1.5), is a designated derivative, or
(b) that belongs to a class of derivatives prescribed by the regulations; (« produit dérivé désigné »)
"designated trade repository" means a trade repository that is designated by the commission under section 31.6; (« répertoire des opérations désigné »)
"recognized clearing agency" means a clearing agency recognized by the commission under section 31.7; (« agence de compensation reconnue »)
"related derivative" means, with respect to a security, a derivative whose market price, value, delivery obligations, payment obligations or settlement obligations are, in a material way, derived from, referenced to or based on the market price, value, delivery obligations, payment obligations or settlement obligations of the security; (« produit dérivé connexe »)
"trade repository" means a person or company that collects and maintains reports of completed trades by other persons and companies; (« répertoire des opérations »)
Subsection 1(1) is further amended in the French version,
(a) by repealing the definition "commerce";
(b) by adding the following definition:
« opération » S'entend notamment :
a) de tout acte à titre onéreux, y compris une vente, une aliénation ou une sollicitation, portant sur une valeur mobilière, que le paiement soit fait sous forme de marge, d'acompte ou d'une autre façon, ou de toute tentative visant l'accomplissement de l'un de ces actes;
b) de la participation, à titre d'opérateur en Bourse, à toute transaction portant sur des valeurs mobilières et effectuée sur le parquet d'une Bourse;
b.1) du fait de souscrire un produit dérivé ou d'y apporter une modification importante, d'y mettre fin, de le céder, de le vendre ou de l'acquérir ou d'en disposer d'une autre façon;
b.2) de la novation d'un produit dérivé, à l'exclusion d'une novation par l'intermédiaire d'une agence de compensation;
c) de la réception d'un ordre d'achat ou de vente d'une valeur mobilière par une personne ou compagnie inscrite pour effectuer des opérations sur valeurs mobilières sous le régime de la présente loi;
d) de tout acte, annonce publicitaire, conduite ou négociation visant directement ou indirectement l'accomplissement des actes susmentionnés. ("trade")
(c) in the definition "premier placement auprès du public",
(i) by striking out "du commerce des" and substituting "des opérations sur" in the part before clause (a),
(ii) by striking out "transactions" and substituting "opérations" in clauses (a) and (b), and
(iii) by striking out "que ces transactions" and substituting "que ces opérations" in the part after clause (c); and
(d) in the definition "preneur ferme", by striking out "l'opération" and substituting "la transaction".
Clause 1(1.1)(c) is replaced with the following:
(c) sections 31.2, 31.5, 31.6, 31.7, 31.10 and 33;
The following is added after subsection 1(1.3):
Purchase and sale of a derivative
For the purposes of this Act,
(a) a person or company purchases a derivative by entering into, making a material amendment to or otherwise acquiring a derivative;
(b) a person or company sells a derivative by making a material amendment to, terminating, assigning or otherwise disposing of a derivative; and
(c) a novation of a derivative, other than a novation with a clearing agency, is deemed to be the purchase and sale of a derivative.
Commission orders re derivative
For the purpose of the definitions "derivative" and "designated derivative", the commission may make an order that
(a) a contract or instrument or class of contracts or instruments is, or is not, a derivative; or
(b) a derivative or class of derivatives is, or is not, a designated derivative;
if the commission is of the opinion that the order would not be prejudicial to the public interest and is adequately justified in the circumstances.
Clause 5(1)(e) of the French version is amended by striking out "de faire le commerce de" and substituting "d'effectuer des opérations sur".
Clause 6(1)(a) is amended by adding "or derivative" after "security".
In the following provisions, "or derivatives" is added after "securities" wherever it occurs:
(a) clause 6(12)(a);
(b) clause 6(13)(a);
(c) subsection 6(14);
Subsection 6(14) of the French version is further amended by striking out "pour faire le commerce de valeurs mobilières ait fait parvenir" and substituting "à cette fin ait fait parvenir".
Clause 7(3)(a) is amended by striking out "or a certain class of securities" and substituting ", class of securities, derivatives or class of derivatives".
In the following provisions, "a stock exchange" is struck out and "an exchange" is substituted:
(a) subsection 7(5);
(b) in the definition "release" in section 174 of the English version;
(c) subclause 186(a)(i) of the English version.
In the following provisions of the French version, "faire le commerce de" is struck out wherever it occurs and "effectuer des opérations sur" is substituted:
(a) subsection 7(5);
(b) subsections 77(1) and (2);
(c) section 78, in the part before clause (a).
The following provisions of the French version are amended by striking out "transactions", with necessary grammatical changes, and substituting "opérations", with necessary grammatical changes:
(a) the section heading for subsection 19(1);
(b) subsections 19(1), (2) and (5);
(c) subsection 58(1);
(d) subsection 117(2);
(e) subsection 166(1);
(f) clause (c) of the definition "organisme de réglementation des valeurs mobilières" in subsection 170(1);
(g) clauses 170(3)(b) and (c);
(h) clause (b) of the definition "organisme de réglementation des valeurs mobilières" in subsection 171(1);
(i) clauses 171(3)(b) and (c);
(j) subclause (b)(ii) of the definition "document" in section 174.
Subsection 20(1) is amended by adding ", derivative" after "security".
In the following provisions of the French version, "transaction" is struck out wherever it occurs and "opération" is substituted:
(a) clauses 21(a) and (d);
(b) subsection 37(1);
(c) subsections 59(1), (2) and (3).
Clauses 22(1)(c) and (2)(c) are amended by adding "or derivatives" after "securities".
Clauses 22(2)(a) and (a.1) are amended by striking out "securities markets" and substituting "securities or derivatives markets".
Clause 22(3)(a) of the French version is amended by striking out "opérations" and substituting "transactions".
In the following provisions of the English version, "stock" is struck out wherever it occurs:
(a) clause 22(2)(b);
(b) section 140;
(c) clause 149(r);
(d) subclause (b)(ii) of the definition "document" in section 174;
Section 23 is amended by adding "or derivatives" after "securities".
Section 26 is replaced with the following:
Interim preservation of property
If the commission considers it necessary or advisable
(a) for the due administration of Manitoba securities law or the regulation of the capital markets in Manitoba; or
(b) to assist in the due administration of the securities laws or the regulation of the capital markets in another jurisdiction;
it may, in writing, direct a person or company having on deposit or under its control or for safekeeping any funds, securities, derivatives or property to retain those funds, securities, derivatives or property and to hold them until the commission in writing revokes the direction or consents to release a particular fund, security, derivative or property from the direction, or until the Court of Queen's Bench orders otherwise.
Direction applies only to branches identified
A direction under subsection (1) that names a bank or other financial institution applies only to the branches of the bank or financial institution identified in that direction.
A direction under subsection (1) does not apply to funds, securities, derivatives or property in the clearing house of an exchange or of a commodity futures exchange or to securities or derivatives in process of transfer by a transfer agent unless the direction so states.
Clarification, variation or revocation
A person or company directly affected by a direction under subsection (1) may apply to the commission for clarification or to have the direction varied or revoked.
If property identified in a direction under subsection (1) includes an interest in land, the commission may authorize the Director to issue a certificate in respect of the land and request registration of the certificate in the land titles office for the land titles district in which the land is situated. The certificate when so registered shall have the same effect as, and the registration of it may be discharged in the same manner as, a certificate of pending litigation in respect of the land.
Subsection 27(1) is amended
(a) in clause (b), by adding "or derivatives" after "securities"; and
(b) in clause (c), by adding "or derivative" after "security".
Subsections 31.1(1) and (2) are replaced with the following:
Recognition of self-regulatory organization
The commission may recognize in writing a person or company representing registrants as a self-regulatory organization if the commission considers that it is in the public interest to do so and that the person or company is in compliance with this Act, the regulations and the rules and is able to continue to be in compliance.
A recognition under this section is subject to such terms and conditions as the commission imposes.
The commission shall not refuse to recognize a person or company as a self-regulatory organization without giving the applicant an opportunity to be heard.
The following is added after section 31.5:
PART IV.2
TRADE REPOSITORIES AND
CLEARING AGENCIES
Designation of trade repository
The commission may designate in writing a person or company as a trade repository if the commission considers that it is in the public interest to do so and that the person or company is in compliance with this Act, the regulations and the rules and is able to continue to be in compliance.
A designation under this section is subject to such terms and conditions as the commission imposes.
Prohibition re clearing agencies
No person or company shall carry on business in Manitoba as a clearing agency unless the person or company is recognized by the commission under this section as a clearing agency.
Recognition of clearing agency
The commission may recognize in writing a person or company as a clearing agency if the commission considers that it is in the public interest to do so and that the person or company is in compliance with this Act, the regulations and the rules and is able to continue to be in compliance.
A recognition under this section is subject to such terms and conditions as the commission imposes.
The commission shall not refuse to designate a person or company as a trade repository or recognize a person or company as a clearing agency without giving the person or company an opportunity to be heard.
If the commission considers it in the public interest to do so, it may make a decision in respect of
(a) the manner in which a designated trade repository or recognized clearing agency carries on business; or
(b) any by-law, rule, regulation, policy, procedure, interpretation or practice of a designated trade repository or recognized clearing agency.
No internal regulation of a recognized clearing agency or designated trade repository shall conflict with this Act, the regulations or the rules, but the clearing agency or trade repository may impose additional requirements within its jurisdiction.
Suspension or cancellation of recognition or designation
If the commission, after giving a clearing agency or trade repository an opportunity to be heard, considers it in the public interest to do so, the commission may reprimand the clearing agency or trade repository or suspend, cancel, restrict or impose terms and conditions on its recognition or designation under this Part.
Temporary order without hearing
Despite subsection (1), if the commission considers that the delay required for a hearing would be prejudicial to the public interest, it may make an order under that subsection without prior notice to the clearing agency or trade repository, but the order is effective for not more than 15 days.
Voluntary surrender of recognition or designation
Subject to any terms and conditions that it may impose, the commission may accept the voluntary surrender of the designation of a trade repository or the recognition of a clearing agency if
(a) the trade repository or clearing agency applies; and
(b) the commission considers that the acceptance will not be prejudicial to the public interest.
Section 32 is replaced with the following:
Auditor of self-regulatory organization, exchange, trade repository and clearing agency
A recognized self-regulatory organization, exchange or clearing agency and a designated trade repository must appoint an auditor for itself.
Every recognized self-regulatory organization and exchange must
(a) select a panel of auditing firms for its members; and
(b) cause each of its members to appoint an auditor from that panel.
Section 33 is amended
(a) in subsection (1), by striking out "stock exchange, or of the Investment Industry Regulatory Organization of Canada," and substituting "exchange"; and
(b) in subsection (2), by striking out "stock exchange, and of the Investment Industry Regulatory Organization of Canada," and substituting "exchange,".
Subsection 35(2) is amended by adding ", derivatives" after "securities".
Section 40 of the French version is amended by striking out "cesse la transaction, autorisée par l'article 38, des" and substituting "cessent les opérations, autorisées par l'article 38, portant sur les".
Section 57 of the French version is amended by striking out "fait le commerce de" and substituting "effectue des opérations sur".
Section 62 of the French version is amended
(a) in subsection (1), by striking out "transactions faites dans le cadre du premier placement auprès du public de" and substituting "opérations effectuées dans le cadre du premier placement auprès du public des"; and
(b) in clause (3)(a), by striking out "transaction" and substituting "opération".
The heading for Part VIII is amended by adding "AND DERIVATIVES" after "SECURITIES".
Section 68 is amended
(a) in the part of subsection (1) after clause (b), by adding "or derivative" after " security";
(b) in clause (2)(a), by adding "or derivatives" after "securities"; and
(c) in clause (2)(c),
(i) by adding "or derivative" after "security", and
(ii) in the French version, by striking out "d'une transaction" and substituting "d'une opération".
Subsection 69(1) of the French version is amended
(a) in the part before clause (a), by striking out "transaction" and substituting "opération"; and
(b) in clauses (a) and (b), by striking out "dont elle fait le commerce" and substituting "à l'égard de laquelle elle effectue des opérations".
The following is added after subsection 69(1):
Representation prohibited — derivatives
No person or company, with the intention of effecting a trade in a derivative, shall make any representation, written or oral, that any amount paid in respect of the derivative will be refunded, unless the terms of the derivative provide for a refund or provide a right to a party to require a refund.
Subsection 69(2) is amended by adding "or derivative" after "security" wherever it occurs.
Subsection 69(3) is replaced with the following:
No person or company, with the intention of effecting a trade in a security or derivative, shall, except with the written permission of the Director, make any representation, written or oral, that the security or derivative will be listed on any exchange or commodity futures exchange or that application has been or will be made to list the security or derivative on any exchange or commodity futures exchange.
Subsection 69(4) is replaced with the following:
Subsections (1) and (1.1) do not apply to a representation that
(a) is made to a person, other than an individual, or to a company;
(b) is contained in a written agreement signed by the person or company intending to effect a trade in a security or derivative; and
(c) is in respect of a security with an aggregate acquisition cost of more than $50,000 or a derivative in a class of derivatives prescribed by the regulations.
Section 74.1 of the French version is amended by striking out "de faire des transactions" and substituting "d'effectuer des opérations".
Subclause 76(b)(i) is amended by adding ", derivative or underlying interest of a derivative" after "security".
The following is added after section 79:
PART VIII.1
TRADING IN DERIVATIVES
Disclosure document — designated derivative
No person or company shall trade a designated derivative unless a disclosure document that satisfies the requirements prescribed by the regulations
(a) has been filed with and accepted by the Director; and
(b) has been delivered in accordance with the regulations.
Subsection (1) does not apply in respect of
(a) a trade described in clause (d) of the definition "trade" in subsection 1(1); or
(b) a trade that is otherwise exempt under this Act or the regulations.
Acceptance of disclosure document
The Director shall accept the filed disclosure document unless the Director
(a) considers that it would not be in the public interest to accept the disclosure document; or
(b) is prohibited by the regulations from accepting it.
The Director shall not refuse to accept a disclosure document that satisfies the requirements prescribed by the regulations without giving the person or company that filed the disclosure document an opportunity to be heard.
Part VII (Trading in the Course of Primary Distribution to the Public) and the regulations made for the purposes of that Part do not apply in respect of
(a) a designated derivative; or
(b) a derivative that is traded on
(i) an exchange registered or exempted from registration under The Commodity Futures Act, or
(ii) any other marketplace, if the conditions prescribed by the regulations are satisfied.
Deemed to be securities for certain purposes
If authorized by the regulations, a derivative that belongs to a class of derivatives prescribed by the regulations is deemed to be a security for such purposes as may be prescribed by the regulations, and such provisions of this Act and the regulations as may be prescribed by the regulations apply to or in respect of the derivative in the manner and to the extent prescribed by the regulations.
Not void for failure to comply with Act, etc.
Unless the terms of the derivative provide otherwise, a derivative transaction is not void, voidable or unenforceable, and no party to the transaction is entitled to rescind the transaction, solely by reason that the transaction failed to comply with this Act or the regulations.
In the following provisions of the French version,"opération" is struck out and "transaction" substituted:
(a) clause 96(1)(b);
(b) subsection 148.2(9);
The heading for Part XI of the French version is amended by striking out "TRANSACTIONS" and substituting "OPÉRATIONS".
Clause 111.1(2)(b) of the French version is amended by striking out "opérations" and substituting "transactions".
Subsection 112(1) is amended
(a) in the part before the definitions, by striking out "and 114" and substituting ", 113, 114 and 136"; and
(b) by repealing the definition "security".
Clause (b) of the definition "émetteur assujetti ou autre" in subsection 112(1) of the French version is amended by striking out "d'un commerce" and substituting "d'opérations".
The following is added after subsection 112(1):
For the purpose of this section and sections 112.1, 112.2, 113, 114 and 136, a security of an issuer is deemed to include
(a) a put, call, option or other right or obligation to purchase or sell securities;
(b) a security whose market price is derived, in whole or in part, from the market price of the securities of the issuer; and
Clause 112.3(1)(b) is amended by adding "or derivative" after "security".
The French version of section 113 is amended
(a) in subsection (1), in the part before clause (a), by striking out "la transaction" and substituting "l'opération"; and
(b) in subsection (5), by striking out "opération ou série d'opérations" and substituting "transaction ou série de transactions".
Clause 136(1)(b) is amended by adding ", disclosure document in respect of a designated derivative," after "financial statement".
Subsection 136(5) is amended by replacing clauses (a) and (b) with the following:
(a) in respect of a security other than anything deemed to be a security under subsection 112(1.1), if the accused purchased a security in contravention of subsection 112(2), the average market price of the security in the 20 trading days following general disclosure of the material fact or material change less the amount that the accused paid for the security;
(b) in respect of a security other than anything deemed to be a security under subsection 112(1.1), if the accused sold a security in contravention of subsection 112(2), the amount that the accused received for the security less the average market price of the security in the 20 trading days following general disclosure of the material fact or material change;
(b.1) in respect of anything deemed to be a security under subsection 112(1.1), such amount as may be prescribed by or determined in accordance with the regulations;
Subsection 138(2) is amended by striking out "73,".
Section 139 is replaced with the following:
No person or company shall carry on business as an exchange in the province unless it is recognized in writing as such by the commission.
The commission may, where it appears to it to be in the public interest, make any direction, order, determination or ruling
(a) with respect to the manner in which any exchange in the province carries on business;
(b) with respect to an internal regulation, ruling or instruction of any exchange in the province;
(c) with respect to trading on or through the facilities of any exchange in the province, or with respect to any security listed for trading on any exchange in the province; or
(d) to ensure that companies whose securities are listed for trading on any exchange in the province comply with this Act and the regulations.
Section 140 of the French version is amended
(a) by striking out "opérations" and substituting "transactions" in the section heading and in the section; and
(b) by striking out "opération" wherever it occurs and substituting "transaction".
Clause 141.2(a) is amended
(a) by adding "or other prescribed document" after "prospectus"; and
(b) by striking out "respecting prospectuses".
Clauses 141.4(1)(b) and (2)(a) and (b) of the French version are amended by striking out "l'opération" and substituting "la transaction".
Subsection 147.1(1) is amended
(a) in clause (a), by adding "or derivative" after "security"; and
(b) by replacing clause (b) with the following:
(b) an order that a person or company cease trading in or purchasing securities or derivatives, specified securities or derivatives, or a class of securities or derivatives specified in the order.
Subsection 148(1) is amended by adding "or derivatives" after "securities".
Subsection 148.2(3) of the English version is amended by striking out "director" and substituting "Director" in the part before clause (a).
Clauses 148.4(1)(a) and (b) are amended by adding "or derivatives" after "securities".
Clause 149(a) of the French version is replaced with the following:
(a) régir les opérations et notamment :
(i) prendre des mesures concernant l'inscription à la cote de valeurs mobilières et les opérations sur ces valeurs,
(ii) prendre des mesures concernant la publicité ayant trait aux opérations sur valeurs mobilières,
(iii) établir les principes permettant de déterminer la valeur marchande, le cours du marché et le cours de clôture des valeurs mobilières et autoriser la Commission à les déterminer,
(iv) prévoir les premiers placements auprès du public et les opérations à l'égard des placements qui sont réputés effectués à l'extérieur du Manitoba,
(v) prévoir les circonstances dans lesquelles une personne ou une compagnie ayant acheté des valeurs mobilières dans le cadre d'un placement peut annuler l'achat, y compris :
(A) prévoir la période pendant laquelle l'annulation est permise,
(B) prévoir les principes permettant de déterminer le montant du remboursement en cas d'annulation,
(C) indiquer la personne ou la compagnie qui est chargée de faire et de gérer le remboursement et fixer le délai dans lequel il doit avoir lieu,
(D) prévoir différents principes, circonstances, périodes, personnes ou compagnies à l'égard des diverses catégories de valeurs mobilières, d'émetteurs ou d'acheteurs,
(vi) prévoir les circonstances dans lesquelles il est interdit à une personne ou à une compagnie ou à une catégorie de personnes ou de compagnies d'effectuer des opérations sur valeurs mobilières ou sur des valeurs mobilières déterminées ou de les acheter, y compris prévoir que l'interdiction s'applique si un organisme habilité par les lois d'une autre autorité législative à régir les opérations sur valeurs mobilières ou à appliquer les lois sur les valeurs mobilières de cette autorité a interdit à la personne ou à la compagnie d'accomplir de tels actes ou interdit les opérations ou les achats portant sur des valeurs mobilières déterminées;
The following is added after clause 149(f):
(f.1) prescribing one or more classes of contracts or instruments that are not derivatives;
(f.2) prescribing one or more classes of derivatives that are designated derivatives;
(f.3) prescribing registration requirements in respect of persons or companies trading in derivatives;
(f.4) prescribing derivatives or classes of derivatives that are deemed to be securities;
(f.5) prescribing one or more classes of derivatives for the purpose of clause 69(4)(c);
(f.6) prescribing one or more conditions for the purpose of subclause 79.1(5)(b)(ii);
Clause 149(g) is replaced with the following:
(g) prescribing requirements relating to derivatives, including
(i) requirements for disclosure documents relating to designated derivatives,
(ii) record keeping, reporting and transparency requirements relating to derivatives,
(iii) requirements in respect of persons or companies trading in derivatives, including requirements in respect of margin, collateral, capital, clearing and settlement,
(iv) requirements that one or more classes of derivatives be traded on a recognized exchange, commodity futures exchange or an alternative trading system,
(v) requirements relating to position limits for derivatives transactions,
(vi) requirements that one or more classes of derivatives not be traded in Manitoba, and
(vii) requirements in respect of persons or companies advising others with respect to trading in derivatives;
Subclauses 149(l)(i) and (ii) of the French version are replaced with the following:
(i) prévoir les opérations, les premiers placements auprès du public et les valeurs mobilières à l'égard desquels une inscription n'est pas obligatoire,
(ii) prévoir les opérations, les premiers placements auprès du public et les valeurs mobilières à l'égard desquels il n'est pas obligatoire de déposer un prospectus,
Clause 149(m) is amended
(a) in the part before subclause (i) of the French version, by striking out "le commerce à l'égard des" and substituting "les opérations ayant trait aux"; and
(b) by adding the following after subclause (vi):
(vii) prescribing requirements for investment funds in respect of derivatives;
Clause 149(o) is amended
(a) in the part before subclause (i) of the French version, by striking out "transactions" and substituting "opérations"; and
(b) in subclause (ii), by striking out "security or class of securities" and substituting "security, related derivative or class of securities or derivatives".
Clause 149(r) is amended by adding the following after subclause (iv):
(v) prescribing restrictions on the ownership, control and direction of recognized exchanges;
The following is added after clause 149(r):
(r.1) governing self-regulatory organizations, including
(i) respecting the recognition of self-regulatory organizations,
(ii) prescribing requirements in respect of the review or approval by the commission of any by-law, rule, regulation, policy, procedure, interpretation or practice of recognized self-regulatory organizations,
(iii) providing for the collection and remission by recognized self-regulatory organizations of fees payable to the commission,
(iv) prescribing requirements in respect of the books and records to be maintained by recognized self-regulatory organizations, and
(v) prescribing restrictions on the ownership, control and direction of recognized self-regulatory organizations;
(r.2) governing clearing agencies, including
(i) respecting the recognition of clearing agencies,
(ii) prescribing requirements in respect of the review or approval by the commission of any by-law, rule, regulation, policy, procedure, interpretation or practice of recognized clearing agencies,
(iii) providing for the collection and remission by recognized clearing agencies of fees payable to the commission,
(iv) prescribing requirements in respect of the books and records to be maintained by recognized clearing agencies, and
(v) prescribing restrictions on the ownership, control and direction of recognized clearing agencies;
(r.3) governing trade repositories, including
(i) respecting the designation of trade repositories,
(ii) prescribing requirements in respect of the review or approval by the commission of any by-law, rule, regulation, policy, procedure, interpretation or practice of designated trade repositories,
(iii) providing for the collection and remission by designated trade repositories of fees payable to the commission,
(iv) prescribing requirements in respect of the books and records to be maintained by designated trade repositories, and
(v) prescribing restrictions on the ownership, control and direction of designated trade repositories;
(r.4) governing alternative trading systems, including
(i) respecting the designation of alternative trading systems,
(ii) prescribing requirements in respect of the review or approval by the commission of any by-law, rule, regulation, policy, procedure, interpretation or practice of designated alternative trading systems,
(iii) providing for the collection and remission by designated alternative trading systems of fees payable to the commission,
(iv) prescribing requirements in respect of the books and records to be maintained by designated alternative trading systems, and
(v) prescribing restrictions on the ownership, control and direction of designated alternative trading systems;
Clause 149(w) is replaced with the following:
(w) determining what constitutes a false or misleading appearance of trading activity in a security or derivative or an artificial price for a security or a derivative;
(w.1) prescribing the amount or the manner of determining the amount referred to in the definition "profit" in subsection 136(5);
Clause 149(ff) is amended
(a) in the part before subclause (i), by striking out "or securities" and substituting ", securities or derivatives"; and
(b) in subclause (i), by adding "or derivatives" after "securities" wherever it occurs.
Clause 149(hh) of the French version is amended by striking out "opérations ou des catégories d'opérations" and substituting "transactions ou des catégories de transactions".
Clause 149.1(1)(a) is amended by striking out "clauses 149(z)" and substituting "clauses 149(w.1), (z)".
Subsection 154.4(1) is amended by adding "or derivatives" after "securities" in the part before clause (a).
Subsection 163(1) is amended
(a) in the definition "extra-provincial securities commission", by adding "or derivatives" after "trading in securities" wherever it occurs;
(b) in the definition "extra-provincial securities laws", by adding "or derivatives" after
(i) "regulating securities", and
(ii) "trading in securities"; and
(c) in the definition "Manitoba authority" in the English version, by striking out "director that" and substituting "Director that".
Section 167 is amended
(a) in clause (a), by adding ", derivative" after "security";
(b) in clause (b), by adding ", derivatives" after "securities"; and
(c) in the part after clause (b), by striking out "security or trade or the class of persons, companies, securities" and substituting "security, derivative or trade or the class of persons, companies, securities, derivatives".
Subsection 168(1) is amended by striking out "or security" wherever it occurs and substituting ", security or derivative".
The French version of clause 175(d) is amended by striking out "opération ou catégorie d'opérations" and substituting "transaction ou catégorie de transactions".
Section 197 is amended by renumbering it as subsection 197(1) and adding the following as subsection 197(2):
A limitation period established by subsection (1) in respect of an action does not run from the day on which an application for leave under section 191 is filed until
(a) the court grants leave or dismisses the application, and
(i) all appeals have been exhausted, or
(ii) the time for an appeal has expired without an appeal being filed; or
(b) the application is abandoned or discontinued.
This Act, except sections 1, 40 and 44, clause 49(c) and section 53, comes into force on a day to be fixed by proclamation.
Coming into force: sections 1, 40, 44, 49(c) and 53
Sections 1, 40 and 44, clause 49(c) and section 53 come into force on the day this Act receives royal assent.